Wednesday, December 19, 2012

Silicon Valley Real Estate is Skyrocketing

In case you are wondering if the real estate market has really bottomed, you need not wonder any more. It is taking off, and not due to low mortgage rates. According to a report by NBC Bay Area, prices of homes in Palo Also are up 21% and up 22% in San Jose.

The average price of a home in Palo Alto is now $1,684,000. What is amazing is that San Francisco Bay Area homes are receiving multiple offers way above list price. What is even more amazing is that most bids are all cash offers!

According to NBC, this demand is being fueled by Chinese investors, both foreign nationals and immigrants. One example that was given was a house near Stanford listed for $1,695,000 that ended up selling for $2,230,000, an increase of 32 percent over the original asking price. Escrow closed within seven days

It's not just the Silicon Valley area that is benefiting from this real estate boom; it is the entire San Francisco Bay Area.

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